Private companies that support and carry out scientific research are spending more than governments these days. Do the advantages of this development outweigh its disadvantages? Explain and give your reasons.
Pros
- Fast-tracking of project initiation: private players can arrange money quickly
- They can make modifications and also arrange extra resources if something goes missing during the project
- Appropriate use of resources: manpower and material
- Time bound project: professionals involved are not given an infinite timeline
- These concerns are exposed to the threat of losses, they innovate and bring improvements
Cons
- Since private companies invest for profits, their products are generally too expensive and beyond the reach of the masses
- These entities also sometimes tend to follow malpractices and launch products without testing for their safety.
In contemporary times, the private endeavors have contributed tremendously in exploratory forays that are more than their state-supported counterparts; however, do the merits attained by such undertakings eclipse their pitfalls, is a matter that needs to be delved deeper into.
The lobby aligning with the idea that this phenomenon is affording humongous benefits asserts that when private players invest into R&D, they can initiate the project quickly by organizing funding, manpower and the whole process unlike the latter: their undertakings are not impeded by bureaucratic obstacles. They can raise money through different sources such as bank loans, or offering private equity, and so on.
To corroborate, CCP Limited researched a myriad of coffee beans and their grinding at different ratios to offer topnotch coffee to Indians; took a five million Rupees loan from banks and completed the whole initiative using 50 personnel, faster than their government-controlled counterparts. Along with this, the former makes a constructive charter for the appropriate usage of resources : materials and force, and tries to complete the activity within a decided timeframe without any delays.
Nevertheless, the skeptics bemoan this trend: the end products cost several arms and legs, making them unaffordable for the majority of middle and low income groups. For instance, most of the life-saving drugs are way beyond the common man since they are patented by private pharma companies who discovered them. Also, these entities try to overcome their competitors by engaging in malpractices such as launching untested products, jeopardizing the health of society
Overall, despite having some drawbacks, this evolution fetches a plethora of benefits: quick initiation of research, and a judicious use of resources. Thus, private participation in R&D endeavors should be promoted in every sector, except that concern welfare of the destitute.
